High iPhone 13 Demand Causing Suppliers to Prioritize Apple Over Rivals

Demand for the iPhone 13 is very strong in China and Taiwan, with suppliers prioritizing Apple to keep pace.

A new report from DigiTimes (via MacRumors) explains that the iPhone 13 line-up is such a hit in China and Taiwan that Taiwanese component suppliers are prioritizing production lines for Apple over its rivals.

“Taiwan-based makers of VCMs (voice coil motors), wire winding and other components of smartphone-use lens modules are giving priority to production for Apple, amid strong pre-sales of iPhone 13 series in China and Taiwan, according to industry sources,” the report explains.

According to the report, Samsung’s Q3 21 smartphone sales “fell short of original expectation”, and Chinese vendors like Oppo and Vivo have high inventory levels of components.

With Apple having “taken over a large portion of Huawei’s original market share”, component makers are focusing more on the Cupertino company. The report further notes that profitability from Apple’s orders is “higher and more stable” than that of Samsung and other Chinese vendors.

Chinese consumers have reportedly pre-ordered millions of the new iPhone 13 across the country’s multiple e-commerce platforms, resulting in online traffic jams and viral social media discussions. The number of pre-orders placed across multiple third-party e-commerce platforms was estimated by Chinese state media to have exceeded five million on Friday, with JD.com alone receiving more than 3 million pre-orders.

Apple introduced the iPhone 13 Pro, iPhone 13 Pro Max, iPhone 13, and iPhone 13 mini at its September 24 “California Streaming” event.